The AI workspace for legal professionals
- Legal research with access to more than 1 million sources
- Document automation
- Matter management
- Hosted in the EU and Switzerland
Try it free for 14 days (10 questions/day during trial)
The AI workspace for legal professionals
Try it free for 14 days (10 questions/day during trial)
01-3128•02a0387p.06
7KH +RQRUDEOH -RKQ &RUEHWW 2¶0HDUD 8QLWHG 6WDWHV 'LVWULFW -XGJH
IRU WKH (DVWHUQ 'LVWULFW RI 0LFKLJDQ VLWWLQJ E\ GHVLJQDWLRQ
5(&200(1'(' )25 )8//7(;7 38%/,&$7,21
3XUVXDQW WR 6L[WK &LUFXLW 5XOH
(/(&7521,& &,7$7,21 )(' $SS 3 WK &LU
)LOH 1DPH DS
81,7('67$7(6&28572)$33($/6
)257+(6,;7+&,5&8,7
BBBBBBBBBBBBBBBBB
81,7(' 67$7(6 2) $0(5,&$
3ODLQWLII$SSHOOHH
Y
'21$/' $ :2/)(
'HIHQGDQW$SSHOODQW
;!
1
1R
$SSHDOIURPWKH8QLWHG6WDWHV'LVWULFW&RXUW
IRUWKH6RXWKHUQ'LVWULFWRI2KLRDW&ROXPEXV
1RV²*HRUJH&6PLWK
'LVWULFW-XGJH
$UJXHG6HSWHPEHU
'HFLGHGDQG)LOHG1RYHPEHU
%HIRUH1255,6DQG&/$<&LUFXLW-XGJHV2¶0($5$
'LVWULFW-XGJH
BBBBBBBBBBBBBBBBB
&2816(/
$5*8(' 'DYLG - *UDHII :HVWHUYLOOH 2KLR IRU
$SSHOODQW'DYLG-%RVOH\$66,67$1781,7('67$7(6
$77251(<&ROXPEXV2KLRIRU$SSHOOHH21%5,()
-- 1 of 4 --
8QLWHG6WDWHVY:ROIH 1R
'DYLG-*UDHII:HVWHUYLOOH2KLRIRU$SSHOODQW'DYLG-
%RVOH\ $66,67$17 81,7(' 67$7(6 $77251(<
&ROXPEXV2KLRIRU$SSHOOHH
BBBBBBBBBBBBBBBBB
23,1,21
BBBBBBBBBBBBBBBBB
$/$1 ( 1255,6 &LUFXLW -XGJH 'HIHQGDQW 'RQDOG
:ROIHSOHDGHGJXLOW\WRDVHULHVRI2KLREDQNUREEHULHV2Q
DSSHDO FRXQVHO UDLVHV WKH IROORZLQJ LVVXH UHODWHG WR WKH
IHGHUDO6HQWHQFLQJ*XLGHOLQHV'LGWKHGLVWULFWFRXUWDEXVHLWV
GLVFUHWLRQZKHQLWGHSDUWHGXSZDUGE\WZROHYHOVEHFDXVHWKH
PXOWLSOHFRXQWDGMXVWPHQW866*'LQDGHTXDWHO\
UHIOHFWHGWKHQXPEHURIUREEHULHVFRPPLWWHGE\GHIHQGDQW"
:HFRQFOXGHWKDWLWGLGQRWDQGWKHUHIRUHDIILUPWKHMXGJPHQW
,
'XULQJDQGGHIHQGDQWFRPPLWWHGVL[WHHQEDQN
UREEHULHVWKURXJKRXWWKHVWDWH$VWKHUHVXOWRIKLVDFWLYLWLHV
KH ZDV WKH VXEMHFW RI WZR LQGLFWPHQWV D IRXUFRXQW
LQGLFWPHQWLQWKH1RUWKHUQ'LVWULFWRI2KLRFKDUJHGKLPZLWK
UREELQJ IRXU EDQNV RQ GLIIHUHQW GDWHV LQ YLRODWLRQ RI
86& D DQG D IRXUWHHQFRXQW LQGLFWPHQW LQ WKH
6RXWKHUQ 'LVWULFW RI 2KLR FKDUJHG KLP ZLWK WZHOYH EDQN
UREEHULHVLQWKDWGLVWULFW7KHODWWHULQGLFWPHQWDOVRLQFOXGHG
WZRFRXQWVUHODWHGWRDQXQVXFFHVVIXODWWHPSWE\GHIHQGDQWWR
HVFDSHIURPDPDJLVWUDWHMXGJH¶VFRXUWURRP
2Q 2FWREHU GHIHQGDQW SOHDGHG JXLOW\ WR HLJKW
FRXQWVRIWKHLQGLFWPHQWUHWXUQHGLQWKH6RXWKHUQ'LVWULFWVL[
EDQNUREEHU\FRXQWVDQGWKHWZRFRXQWVUHODWHGWRKLVIDLOHG
HVFDSHDWWHPSW3XUVXDQWWR)HG5&ULP3GHIHQGDQW
DOVR SOHDGHG JXLOW\ WR WKH IRXU FRXQWV RI WKH LQGLFWPHQW
UHWXUQHGLQWKH1RUWKHUQ'LVWULFW7KHGLVWULFWFRXUWLPSRVHG
D VHQWHQFH RI PRQWKV RI LPSULVRQPHQW WKUHH \HDUV RI
VXSHUYLVHG UHOHDVH D VSHFLDO DVVHVVPHQW RI DQG
RUGHUHGUHVWLWXWLRQLQWKHDPRXQWRI
1R 8QLWHG6WDWHVY:ROIH
OHYHO
³VL[OHYHOVZRXOGRQO\EHJLQDWò´LGZKLFKPHDQVWKDWDW
OHDVW RQH RI WKH XSZDUG GHSDUWXUH OHYHOV LPSRVHG E\ WKH
GLVWULFWFRXUWLQWKLVFDVHLVFRXQWHQDQFHGE\9DOHQWLQH0RUH
SUREOHPDWLFLVWKHVHFRQGOHYHO$OWKRXJKGHIHQGDQWVWLOOKDV
òXQFRXQWHGXQLWVDIWHUDRQHOHYHOGHSDUWXUH9DOHQWLQH
XQGHUVFRUHV WKDW ' ³DWWDFKHV GHFUHDVLQJ PDUJLQDO
SXQLVKPHQWWRDGGLWLRQDORIIHQVHV´,GDW7KXVPRUH
WKDQ ò DGGLWLRQDO OHYHOV PLJKW DUJXDEO\ EH UHTXLUHG WR
MXVWLI\DVHFRQGOHYHO+RZHYHUDVERWKWKHGLVWULFWFRXUWDQG
WKH JRYHUQPHQW UHFRJQL]H WKH *XLGHOLQHV DOVR DOORZ
VHQWHQFLQJ FRXUWV WR WDNH FRXQWV WKDW KDYH EHHQ GLVPLVVHG
SXUVXDQW WR SOHD DJUHHPHQWV LQWR FRQVLGHUDWLRQ ZKHQ
DVVHVVLQJWKHDFWXDOVHULRXVQHVVRIWKHRIIHQVH6HH866*
. SROLF\VWDWHPHQWHIIHFWLYH1RY +HUHVL[
EDQNUREEHU\FRXQWVZHUHGLVPLVVHGSXUVXDQWWRGHIHQGDQW¶V
SOHD,QRXUYLHZWKHIDFWWKDWGHIHQGDQWKDGWHQXQLWVIRUWKH
SXUSRVHVRI'FRXSOHGZLWKKLVDFNQRZOHGJHGJXLOW
ZLWK UHVSHFW WR VL[ GLVPLVVHG FRXQWV VDWLVILHV WKH
³VLJQLILFDQWO\PRUHWKDQILYH´WHVWVHWIRUWKLQWKH*XLGHOLQHV
DQGH[SODLQHGLQ9DOHQWLQH
,,,
7KHMXGJPHQWLVDIILUPHG
-- 2 of 4 --
8QLWHG6WDWHVY:ROIH 1R
$OWKRXJK KH KDG HOHYHQ ³FRXQW JURXSV´ RQH RI WKHP *URXS GLG
QRW WUDQVODWH LQWR D XQLW EHFDXVH LW \LHOGHG DQ RIIHQVH OHYHO RI RQO\
ZKLFK LV PRUH WKDQ OHYHOV OHVV WKDQ WKH RIIHQVH OHYHO RI WKDW WKH WHQ
RWKHU JURXSV \LHOGHG 6HH 866* ' F GLVUHJDUG JURXSV WKDW DUH
PRUH WKDQ OHYHOV OHVV VHULRXV WKDQ WKH JURXS ZLWK WKH KLJKHVW RIIHQVH
EDFNJURXQGODQJXDJHRI'WKDWUHTXLUHV³VLJQLILFDQWO\
PRUHWKDQ8QLWV´EHIRUHDQXSZDUGGHSDUWXUHLVZDUUDQWHG
$ FDUHIXO H[DPLQDWLRQ RI WKH FKDUW JLYHV XV VRPH
HYLGHQFH IRU LQWHUSUHWLQJ ZKDW FRXOG EH ³VLJQLILFDQWO\
PRUHWKDQILYH´7KHORZHVWQXPEHURIXQLWVWKDWFRXOG
EH³PRUHWKDQILYH´LVEXWWKDWQXPEHULVDOUHDG\
FRYHUHG DV WKH YHU\ ILUVW SRUWLRQ RI WKH FDWHJRU\ WKDW
UHTXLUHV RQO\ D ILYHOHYHO LQFUHDVH 7KH FKDUW LV QRW
VSHFLILF DIWHU WKLV SRLQW H[FHSW IRU WKH JHQHUDO VHQVH
LQKHUHQWLQWKHZRUG³VLJQLILFDQW´WKDWWKHPDJQLWXGHRI
WKHGLIIHUHQFHEHPRUHWKDQWKHEDUHPLQLPXP
7KHVWUXFWXUHRIWKLV*XLGHOLQHVSURYLVLRQKRZHYHU
OHQGV FRQVLGHUDEOH VXSSRUW WR RXU KROGLQJ WKDW LQ WKLV
FRQWH[WVHYHQLVQRW³VLJQLILFDQWO\PRUHWKDQILYH´7KLV
SURYLVLRQ SURYLGHV IRU D SURJUHVVLRQ IURP ³JURXSV RI
RIIHQVHV´WR³XQLWV´WR³OHYHOV´WKHEDVLFFXUUHQF\RIWKH
JXLGHOLQHVFKHPH'LIIHUHQWRIIHQVHJURXSV ZKLFKFDQ
LQFOXGH RQH RU VHYHUDO RIIHQVHV DUH DVVLJQHG ³XQLWV´
UDQJLQJIURPWRWR:KHQZHH[DPLQHWKHWDEOH
WKDW LV VHW RXW LQ WKH JXLGHOLQHV ZH FDQ VHH D JHQHUDO
SDWWHUQ WKDW LQFUHDVLQJO\ ODUJH QXPEHUV RI XQLWV DUH
UHTXLUHG WR MXVWLI\ HDFK DGGLWLRQDO LQFUHDVH LQ RIIHQVH
OHYHO
9DOHQWLQH )G DW ,Q 9DOHQWLQH WKH FRXUW
FRQFOXGHGWKDWVHYHQXQLWVGLGQRWFRQVWLWXWH³VLJQLILFDQWO\
PRUHWKDQILYH´DQGYDFDWHGWKHVHQWHQFH
:KLOH9DOHQWLQHUHYHUVHGDQXSZDUGGHSDUWXUHLWGRHVQRW
VXSSRUWGHIHQGDQW¶VSRVLWLRQEHFDXVHWKHXQGHUO\LQJIDFWXDO
VLWXDWLRQV DUH GLVWLQJXLVKDEOH +HUH GHIHQGDQW KDG WHQ
³XQLWV´IRUSXUSRVHVRI'9DOHQWLQHLWVHOIVWDWHVWKDW
1R 8QLWHG6WDWHVY:ROIH
,,
7KLVFRXUWUHYLHZVGHFLVLRQVWRGHSDUWIURPWKH*XLGHOLQHV
IRUDEXVHRIGLVFUHWLRQ8QLWHG6WDWHVY9DOHQWLQH)G
WK&LU 8QLWHG6WDWHVY%DUDMDV1XQH]
)G WK&LU
6HQWHQFLQJ*XLGHOLQH¶V&KDSWHU3DUW'H[SODLQVKRZWR
FDOFXODWHDEDVHRIIHQVHOHYHOZKHQDGHIHQGDQWLVFRQYLFWHG
RQPXOWLSOHFRXQWV6HFWLRQ'SURYLGHVWKDW³>D@OOFRXQWV
LQYROYLQJ VXEVWDQWLDOO\ WKH VDPH KDUP VKDOO EH JURXSHG
WRJHWKHU LQWR D VLQJOH *URXS´ 7KH SUHVHQWHQFH UHSRUW
FRQFOXGHGWKDWWKHUHZHUHHOHYHQJURXSV:KHQFRXQWVDUH
JURXSHGWRJHWKHUWKHKLJKHVWRIIHQVHOHYHORIWKHFRXQWVLQWKH
JURXS LV XVHG 866* ' D 6HFWLRQ ' WKHQ
H[SODLQVKRZWRDUULYHDWDFRPELQHGRIIHQVHOHYHO
7KHFRPELQHGRIIHQVHOHYHOLVGHWHUPLQHGE\WDNLQJWKH
RIIHQVHOHYHODSSOLFDEOHWRWKH*URXSZLWKWKHKLJKHVW
RIIHQVH OHYHO DQG LQFUHDVLQJ WKDW RIIHQVH OHYHO E\ WKH
DPRXQWLQGLFDWHGLQWKHIROORZLQJWDEOH
1XPEHURI8QLWV ,QFUHDVHLQ2IIHQVH/HYHO
QRQH
DGGOHYHO
DGGOHYHOV
DGGOHYHOV
DGGOHYHOV
0RUHWKDQ DGGOHYHOV
,QGHWHUPLQLQJWKHQXPEHURI8QLWVIRUSXUSRVHVRIWKLV
VHFWLRQ
D &RXQWDVRQH8QLWWKH*URXSZLWKWKHKLJKHVW
RIIHQVH OHYHO &RXQW RQH DGGLWLRQDO 8QLW IRU
HDFK*URXSWKDWLVHTXDOO\VHULRXVRUIURPWR
OHYHOVOHVVVHULRXV
-- 3 of 4 --
8QLWHG6WDWHVY:ROIH 1R
E &RXQWDVRQHKDOI8QLWDQ\*URXSWKDWLVWR
OHYHOV OHVV VHULRXV WKDQ WKH *URXS ZLWK WKH
KLJKHVWRIIHQVHOHYHO
F 'LVUHJDUG DQ\*URXSWKDWLVRUPRUHOHYHOV
OHVV VHULRXV WKDQ WKH *URXS ZLWK WKH KLJKHVW
RIIHQVHOHYHO6XFK*URXSVZLOOQRWLQFUHDVHWKH
DSSOLFDEOH RIIHQVH OHYHO EXW PD\ SURYLGH D
UHDVRQIRUVHQWHQFLQJDWWKHKLJKHUHQGRIWKH
VHQWHQFLQJ UDQJH IRU WKH DSSOLFDEOH RIIHQVH
OHYHO
866* ' 1RY 7KH &RPPHQWDU\ WKDW
DFFRPSDQLHV WKLV VHFWLRQ DOVR LQFOXGHV WKH IROORZLQJ
EDFNJURXQGQRWH
,QDVPXFK DVWKHPD[LPXPLQFUHDVHSURYLGHGLQWKH
JXLGHOLQHLVOHYHOVGHSDUWXUHZRXOGEHZDUUDQWHGLQWKH
XQXVXDOFDVHZKHUHWKHDGGLWLRQDORIIHQVHVUHVXOWHGLQD
WRWDORIVLJQLILFDQWO\PRUHWKDQ8QLWV
,QXQXVXDOFLUFXPVWDQFHVWKHDSSURDFKDGRSWHGLQWKLV
VHFWLRQ FRXOG SURGXFH DGMXVWPHQWV IRU WKH DGGLWLRQDO
FRXQWVWKDWDUHLQDGHTXDWHRUH[FHVVLYH2UGLQDULO\
WKHFRXUWZLOOKDYHODWLWXGHWRLPSRVHDGGHGSXQLVKPHQW
E\ VHQWHQFLQJ WRZDUG WKH XSSHU HQG RI WKH UDQJH
DXWKRUL]HG IRU WKH PRVW VHULRXV RIIHQVH 6LWXDWLRQV LQ
ZKLFK WKHUH ZLOO EH LQDGHTXDWH VFRSH IRU HQVXULQJ
DSSURSULDWH DGGLWLRQDO SXQLVKPHQW IRU WKH DGGLWLRQDO
FULPHVDUHOLNHO\WREHXQXVXDODQGFDQEHKDQGOHGE\
GHSDUWXUHIURPWKHJXLGHOLQHV
866*'FRPPHQW EDFNJ¶G 'XULQJVHQWHQFLQJ
WKH GLVWULFW FRXUW JDYH WKH IROORZLQJ H[SODQDWLRQ IRU LWV
GHFLVLRQWRGHSDUWXSZDUGE\WZROHYHOV
7KH &RXUW KDV GHSDUWHG WKH GHIHQGDQW¶V VHQWHQFH
XSZDUGWZRRIIHQVHOHYHOV3XUVXDQWWR8QLWHG6WDWHV
6HQWHQFLQJ*XLGHOLQHV.WKH&RXUWPD\LPSRVHD
VHQWHQFHRXWVLGHWKHUDQJHHVWDEOLVKHGE\WKHDSSOLFDEOH
JXLGHOLQHVLIWKH&RXUWIHHOVWKHUHH[LVWVDQDJJUDYDWLQJ
1R 8QLWHG6WDWHVY:ROIH
RUPLWLJDWLQJFLUFXPVWDQFHRIDNLQGRUWRDGHJUHHQRW
DGHTXDWHO\ WDNHQ LQWR FRQVLGHUDWLRQ E\ WKH 6HQWHQFLQJ
&RPPLVVLRQLQIRUPXODWLQJWKHJXLGHOLQHV
7KH GHIHQGDQW HQWHUHG D JXLOW\ SOHD WR WHQ EDQN
UREEHULHV$FFRUGLQJWRWKHPXOWLSOHFRXQWDGMXVWPHQW
SURYLVLRQRI'WKHGHIHQGDQWLVOLPLWHGWRUHFHLYLQJ
DILYHOHYHOHQKDQFHPHQWIRUVL[RUPRUHUREEHULHV<HW
0U:ROIHKDVFRPPLWWHGIRXUDGGLWLRQDOUREEHULHVWR
ZKLFKKHKDVSOHGEXWKDYHQRWEHHQFRQVLGHUHGLQWKH
JXLGHOLQH JURXSLQJV 7KH &RXUW WKHUHIRUH RUGHUV DQ
XSZDUG GHSDUWXUH WR FDSWXUH WKHVH IRXU DGGLWLRQDO
UREEHULHV LQ WKH GHIHQGDQW¶V VHQWHQFH QRW HQFRXQWHUHG
XQGHUWKHJXLGHOLQHVJURXSLQJPHWKRGV
7KH&RXUWDOVRQRWHVWKDWWKHGHIHQGDQWKDVSOHGJXLOW\
WRWHQFRXQWVRIEDQNUREEHU\+RZHYHUWKHUHDUHVL[
DGGLWLRQDO FRXQWV RI EDQN UREEHU\ IRU ZKLFK WKH
GHIHQGDQWLVUHVSRQVLEOHIRUVHQWHQFLQJSXUSRVHVHYHQ
WKRXJKWKHVHFRXQWVZHUHGLVPLVVHGDVDSDUWRIWKHJXLOW\
SOHD7KDWPDNHVDWRWDOUHDOO\RIZKDWZHDUHWDONLQJ
DERXWKHUHRIEDQNUREEHULHV,WLVXQGLVSXWHGWKDWWKH
GHIHQGDQWLVUHVSRQVLEOHIRUWKHLUFRPPLVVLRQDQGKDV
DJUHHGWRSD\UHVWLWXWLRQIRUWKHP
3XUVXDQWWR%WKH&RXUWLVSHUPLWWHGWRXVHWKLV
UHOHYDQWFRQGXFWWRGHWHUPLQHWKHGHIHQGDQW¶VVHQWHQFH
DQG XSZDUG GHSDUWXUH LI QHFHVVDU\ ,Q IDFW WKH
FRPPHQWDU\WR%VWDWHVWKDW³)RUH[DPSOHLIWKH
GHIHQGDQWFRPPLWWHGWZRUREEHULHVEXWDVDSDUWRIWKH
SOHD QHJRWLDWLRQ HQWHUHG D JXLOW\ SOHD WR RQO\ RQH WKH
UREEHU\WKDWZDVQRWWDNHQLQWRDFFRXQWE\WKHJXLGHOLQHV
PD\ SURYLGH D UHDVRQ IRU VHQWHQFLQJ DERYH WKH
JXLGHOLQHV UDQJH´ 7KHUHIRUH WKH &RXUW RUGHUV DQ
XSZDUG GHSDUWXUH WR FDSWXUH WKHVH DGGLWLRQDO VL[
UREEHULHV
'HIHQGDQW UHOLHV H[FOXVLYHO\ XSRQ 8QLWHG 6WDWHV Y
9DOHQWLQHVXSUDLQVXSSRUWRIKLVDUJXPHQWWKDWWKHGLVWULFW
FRXUWDEXVHGLWVGLVFUHWLRQLQGHSDUWLQJ,Q9DOHQWLQHWKLV
FRXUW UHYHUVHG DQ XSZDUG GHSDUWXUH EDVHG XSRQ WKH
-- 4 of 4 --
Connect Omnilex to search the legal corpus from your AI assistant.